USMCA Renewal: Think Tank Urges Changes to North American Trade Deal
A think tank backs renewing USMCA, the trade agreement linking the United States, Mexico and Canada.
CEI Senior Economist Ryan Young was interviewed by Iowa PBS on USMCA recommendations.
Ryan Young/Senior Economist, Competitive Enterprise Institute: “Trade policy is in a very volatile place. And one thing that trade agreements offer is stability.”
The Institute opposed USMCA when it was first negotiated. Now CEI supports renewal.
Ryan Young/Senior Economist, Competitive Enterprise Institute: “We’re seeing tariffs on anything and everything. We’re seeing retaliatory tariffs that are killing farmers’ export markets, raising prices for equipment, raising consumer prices.”
The group says all three countries have come out ahead on the deal but there’s room for improvement.
Ryan Young/Senior Economist, Competitive Enterprise Institute: “Mexico has a comparative advantage when it comes to labor-intensive manufacturing. The US has a comparative advantage when it comes to design. Canada has its own comparative advantages in agriculture and energy.”